A weekly e-newsletter for FMPA members
June 1, 2015
Management Consulting Services RFQ
FMPA issued a Request for Qualifications (RFQ) last Wednesday for an independent management consultant related to the Auditor General’s audit. Consultants have been asked to provide analysis and recommendations on fuel hedging (Audit Finding No. 1) and the All-Requirements Project contract termination provisions (Audit Finding No. 14), specifically defining the terms “additional benefits and “excess amounts as it relates to the withdrawal payment calculation. Responses are due by June 26. The Executive Committee is scheduled to interview respondents on July 30. The RFQ is available on FMPA’s http://fmpa.com/request-for-qualifications-management-consulting-services/> style=color: windowtext;>website, and it will be advertised in the Orlando Sentinel and in American Public Power Association’s publications. Contact: Nick Guarriello
3 Phase Times
FMPA’s Power Resources Division published last Wednesday the April 2015 edition of 3 Phase Times. This monthly report provides information about the All-Requirements Project’s (ARP) system peak, hourly loads, resource fuel mix, natural gas usage, natural gas pricing and more performance information. The report shows that in April natural gas represented 80% of the ARP’s total resource fuel mix, an increase of 5.1% from March. Total energy sales to meet ARP load and other sales was 2.8% lower than the short-term forecast. ARP was a net seller to the Florida Municipal Power Pool. For more information, download 3 Phase Times from the Member Portal. Contact: Frank Gaffney
Audit Response Report
FMPA filed with the Florida Auditor General last Thursday a http://fmpa.com/wp-content/uploads/2015/05/FMPA-Audit-Response-Report-5-28-15.pdf> style=color: windowtext;>status report on the Agency’s response to the audit. The Joint Legislative Auditing Committee on March 30 directed FMPA to provide to the Auditor General within 60 days a written action plan detailing FMPA’s plans and timetable for addressing each of the 15 audit findings. Contact: Nick Guarriello
Cane Island Unit 3
Cane Island Unit 3 came back online May 23 after completing a scheduled maintenance outage. Unit 3 was originally scheduled to come back online June 1. Contact: David Schumann
Welcome, Tom Richards
Please welcome FMPA’s new Executive Consultant, Tom Richards, who joins the Agency on Monday. Tom most recently served as the electric utility director for Vero Beach and before that he retired from Fort Pierce Utilities Authority (FPUA). While with FPUA, Tom dedicated more than 20 years to FMPA and the All-Requirements Project, during which time he served as an officer of FMPA’s Board of Directors and committees.
Business Planning and Budget Committee
FMPA’s Business Planning and Budget Committee meets Thursday at 9 a.m. to discuss: 1) approval of the proposed fiscal 2016 All-Requirements Project budget for recommendation to the Executive Committee for final approval, 2) approval of the proposed fiscal 2016 St. Lucie Project budget for recommendation to the Board of Directors for final approval,3) approval of the proposed fiscal 2016 Stanton Project budget for recommendation to the Board of Directors for final approval, 4) approval of the proposed fiscal 2016 Tri-City Project budget for recommendation to the Board of Directors for final approval, and 5) approval of the proposed fiscal 2016 Stanton II Project budget for recommendation to the Board of Directors for final approval. Contact: Mark Larson
FM Global Site Visit
Tim Jackson, Rich Popp and David Schumann are in Key West at the Stock Island Generating Facility on Tuesday and Wednesday for an annual site visit with representatives from FM Global, the property insurance provider for the All-Requirements Project’s power generating units. FM Global visited the Treasure Coast Energy Center and Cane Island Power Park earlier this year.
Regulatory Compliance Peer Reviews
The Regulatory Compliance Department wraps up peer reviews this week for Lakeland Electric and Leesburg. FMPA’s Compliance Department, along with volunteers from other member cities, audited the utilities’ compliance with select standards from the North American Electric Reliability Corporation. Contact: Carol Chinn
Member Services Satisfaction Survey
FMPA Board of Directors members are encouraged to complete the Member Services Satisfaction Survey emailed on May 20. The survey is being conducted as directed by the Board of Directors’ strategic plan. The survey was developed in conjunction with FMPA’s Member Services Advisory Committee. It is intended to measure satisfaction with FMPA’s services other than power supply. The survey consists of eight questions and should take less than five minutes to complete. The deadline to complete the survey is June 12. Contact: Sharon Smeenk
All-Requirements Project May Load Statistics
The All-Requirements Project’s non-Contract Rate of Delivery peak for May was 1,091 MW, which occurred May 21 between 4 p.m. and 5 p.m. The project’s load factor for May was 65%. Load factor is a ratio of actual energy (MWh) used during the period versus what would have been consumed if demand was at peak for the entire period. A higher load factor indicates more effective system utilization and results in lower average costs. The month’s peak was 108% of the budgeted peak, and energy was 109% of the budget. A graph showing the All-Requirements Project hourly load for May is available on the Member Portal. Contact: Jim Atz
ARP Telephonic Rate Workshop
The ARP Executive Committee meets June 9 at 2 p.m. via conference call for the monthly All-Requirements Project Rate Workshop. Contact: Jim Atz
FMPA Board of Directors
A special-called meeting of FMPA’s Board of Directors has been scheduled for June 18 at 9:30 a.m. in Orlando. Contact: Nick Guarriello
ARP Executive Committee
The ARP Executive Committee is scheduled to meet in Orlando on June 18 at 10 a.m., or immediately following the Board of Directors meeting. Contact: Nick Guarriello
FMEA Annual Conference
The FMEA Annual Conference scheduled for July 21 through July 24 at the Breakers in Palm Beach will include a special presentation by Lt. Col. (ret.) Rob “Waldo Waldman, also known as The Wingman. Waldman is a highly experienced combat veteran with more than 2,650 flight hours, 65 real-world combat missions and author of Never Fly Solo. Waldman is this year’s keynote speaker and will offer an interesting lesson on how to overcome fear and obstacles by building a culture of trust with employees, partners and customers. The conference also will include sessions on a variety of industry topics, including how to handle public records requests, controlling rate impacts, examining inteal processes and more. Visit FMEA’s http://publicpower.com/annual-conference/> style=color: windowtext; background-image: initial; background-attachment: initial; background-size: initial; background-origin: initial; background-clip: initial; background-position: initial; background-repeat: initial;>website for conference and hotel registration information.
Budget Divide Looms as Florida Legislative Special Session Starts
Florida lawmakers retu to Tallahassee today for a 20-day special legislative session where they hope to reach agreement on a new state budget. The House and Senate ended the regular legislative session in disagreement over health care funding. Tensions reportedly remain high between the two chambers, but legislative leaders have signaled that despite their deep differences they are prepared to pass a new state budget before the July 1 start of the new fiscal year, avoiding the potential for a state govement shutdown.
Forecasters Predict Below-Normal Atlantic Hurricane Season
Forecasters predicted last Wednesday that the 2015 Atlantic hurricane season, which begins today and runs through Nov. 30, will likely be below normal. The National Oceanic and Atmospheric Administration (NOAA) is predicting a 70% likelihood of 6 to 11 named storms, of which 3 to 6 could become hurricanes, including zero to 2 major hurricanes. “The main factor expected to suppress the hurricane season this year is El Niño, which is already affecting wind and pressure pattes, and is forecast to last through the hurricane season, said Gerry Bell, Ph.D., lead seasonal hurricane forecaster with NOAA’s Climate Prediction Center.
EIA: Price Increases, 90-GW loss of Coal Generation under Clean Power Plan
The U.S. Energy Information Administration (EIA) released http://www.eia.gov/analysis/requests/powerplants/cleanplan/pdf/powerplant.pdf> style=font-family: ‘Georgia’,’serif’; color: windowtext; text-decoration: none; text-underline: none;>an analysis of the impacts of the Clean Power Plan, the Environmental Protection Agency’s (EPA) plan to reduce carbon emissions from existing fossil-fuel-fired power plants. The 96-page analysis projects that 90 GW of coal-fired generation would shut down because of the Clean Power Plan, more than twice the 40 GW that would be expected to retire under a business-as-usual scenario without the plan. Most of the retirements would occur by 2020, EIA said. U.S. coal production would be reduced 20% by 2020. EIA also predicts the cost of generating electricity would increase nearly 6% by 2020, compared to a business-as-usual scenario without the plan. Overall, electricity prices are projected to rise 4.9% by 2020. By 2030, prices are projected to be 3% to 4% higher under the EPA plan than they would be if there were no Clean Power Plan. In some regions, prices are expected to continue to be elevated.
Duke to Build Solar Farm at Walt Disney World
Duke Energy Florida plans to build, own and operate a 5 MW, 48,000-panel solar farm that will serve the Reedy Creek Improvement District. The Reedy Creek Improvement District’s Board of Supervisors approved a 15-year power-purchase agreement with Duke Energy Florida Solar Solutions LLC, a subsidiary of Duke Energy Florida. The facility will occupy 20 acres at the Walt Disney World Resort with solar panels arranged in the shape of a Disney-inspired design. Duke expects to begin construction this summer and bring the facility online by the end of the year.
FMPA Weekly is published by FMPA for employees and goveing boards of FMPA member utilities. Questions or comments about this newsletter may be directed to Ryan Dumas or Nathalia Romano in FMPA’s Public Relations Department.
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Tel 407 355-7767
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